Slide 1: Third quarter 2022 results Analyst call
Third quarter 2022 results Analyst call November 10th, 2022
Slide 2: Financial calendar and disclaimer
Investor presentation 3Q22 Interim financial report 3Q22 Financial Calendar Disclaimer 23.02.2023 (17:45 CET) This presentation is based on information published by bpost group in its Third Quarter 2022 Interim Financial Report, made available on November 9th, 2022 at 5.45pm CET on bpostgroup.com/in
Slide 3: Highlights of 3Q22
Highlights of 3Q22 3Q22 Results continue to track towards guidance range in seasonally softer quarter, driven by underlying parcels volume growth and pricing measures, mail price increase offsetting volume decline and continued efforts to mitigate unfavorable macro headwinds Group operating Belgium
Slide 4: Key financials 3Q22
Key financials 3Q22 3Q22 € million Reported Adjusted1 3Q21 3Q22 3Q21 3Q22 %↑ 1 Amortization and impairments of intangibles recognized during Total operating income 977.6 1,021.9 976.2 1,021.9 4.7% PPA are adjusted, leading to Operating expenses 871.6 923.6 871.6 923.6 6.0% increase in EBIT (€ +3.2m)
Slide 5: Belgium pricing levers in both Mail and Parcels
Belgium pricing levers in both Mail and Parcels 3Q22 – Belgium Strong parcel volume and price/mix development excluding Amazon Belgium external operating income, € million Domestic Mail Parcels Belgium Stable operating income from: Parcels Belgium revenue up € +1.0m (+0.9%): -4% 3Q21 523.7 • € -18.9
Slide 6: FTE reduction and resilient volumes partly mitigate inflation of energy and payroll costs
FTE reduction and resilient volumes partly mitigate inflation 3Q22 – Belgium of energy and payroll costs € million Belgium 3Q21 3Q22 %↑ Key takeaways 3Q22 External operating income 523.7 494.9 -5.5% Transactional 167.6 169.7 1.3% • Total operating income up € +7.9m (+1.6%) excluding Ubiway Retail Ad
Slide 7: Accelerated growth in Radial and Active Ants and higher cross-border revenue
Accelerated growth in Radial and Active Ants and higher 3Q22 – E-Log. Eurasia cross-border revenue from IMX integration E-Logistics Eurasia external operating income, € million E-commerce logistics Cross-border Revenue up € +4.2m (+6.7%): Revenue up € +12.9m (+18.6%) mainly from: 3Q21 132.3 • Radial
Slide 8: EBIT improvement as top-line momentum mitigates inflation
EBIT improvement as top-line momentum 3Q22 – E-Log. Eurasia mitigates inflation € million E-Logistics Eurasia 3Q21 3Q22 %↑ Key takeaways 3Q22 External operating income 132.3 149.4 12.9% E-commerce logistics 63.1 67.3 6.7% • Total operating income up € +17.7m (+12.9%) Cross-border 69.1 82.0 18.6% Int
Slide 9: Organic growth supported by Landmark US and Apple Express
Organic growth supported by Landmark US and Apple Express 3Q22 – E-Log. N. Am. as Radial sales normalize post customer implementations E-Logistics N. America external operating income, € million E-commerce logistics Radial NA revenues (m$) YoY increase of +20.1% (+2.9% at in perspective 3Q21 319.4 c
Slide 10: Continued underlying EBIT improvement
Continued underlying EBIT improvement 3Q22 – E-Log. N. Am. € million E-Logistics North America 3Q21 3Q22 %↑ Key takeaways 3Q22 External operating income 319.4 375.0 17.4% E-commerce logistics 312.2 375.0 20.1% • Total operating income up € +63.2m (+20.2%, +2.9% at CER) reflecting International mail
Slide 11: Corporate EBIT reflects continued overhead reduction and investments
Corporate EBIT reflects continued overhead reduction 3Q22 – Corporate and investments to support the group transformation € million Corporate 3Q21 3Q22 %↑ Key takeaways 3Q22 External operating income 2.2 2.7 20.4% Intersegment operating income 102.2 98.2 -3.9% • External revenues € +0.5m higher than
Slide 12: Stable Cash Flow from Operating activities
Stable Cash Flow from Operating activities 3Q22 € million - Adjusted 3Q21 3Q22 Delta Cash flow from operating activities before Δ in WC and provisions 94.5 91.7 -2.7 1 Change in working capital and provisions 54.5 -40.6 -95.1 2 Cash flow from operating activities 149.0 51.1 -97.8 Cash flow from inve
Slide 13: 2022 group EBIT outlook revised upwards to €265-300m
2022 group EBIT outlook revised upwards to €265-300m Outlook FY22 bpostgroup today revises its full-year EBIT outlook to €265-300m, reflecting the 3Q22 outperformance and current expectations for 4Q22. The previously identified downside risk is reduced to €15 million (from <€40m at Q1 and <€25m at Q
Slide 14: Additional info
Additional info
Slide 15: Adjusted vs. reported Cash Flow Statement
Adjusted vs. reported Cash Flow Statement 3Q22 € million Reported Adjusted 3Q21 3Q22 Delta 3Q21 3Q22 Delta Cash flow from operating activities before Δ in WC and provisions 94.5 91.7 -2.7 94.5 91.7 -2.7 Change in working capital and provisions 27.6 -76.6 -104.2 54.5 -40.6 -95.1 1 Cash flow from oper
Slide 16: Balance Sheet
Balance Sheet 3Q22 € million € million Assets Dec 31, 2021 Sept 30, 2022 Equity and Liabilities Dec 31, 2021 Sept 30, 2022 PPE 1,263.5 1,397.2 Total equity 885.3 1,055.9 Intangible assets 797.0 909.8 Interest-bearing loans & borrowings 1,377.7 1,503.6 Investments in associates and joint ventures 0.0
Slide 17: Financing Structure & Liquidity
Financing Structure & Liquidity 3Q22 € million € million Available Liquidity Dec 31, 2021 Sept 30, 2022 External Funding Dec 31, 2021 Sept 30, 2022 Ca sh & c a sh eq u iv a l en ts 907.5 832.8 L o n g -term 813.3 650.0 1 Cash in network 149.9 155.1 Long-term bond (1.25% - 07/2026) 650.0 650.0 Transi
Slide 18: Belgian payroll costs: fifth salary indexation in Dec. '22
Belgian payroll costs: fifth salary indexation in Dec. ’22 to cause Outlook FY22 € 3.5m additional cost (€ ~28m total impact vs. initial guidance) Belgian salary indexations Federal Planning Bureau Inflation forecasts Forecast November • Under the Belgian social security system, salaries are Forecas
Slide 19: Key contact
Key contact Antoine Lebecq Head of Investor Relations Email: antoine.lebecq@bpost.be Direct: +32 (0) 2 276 29 85 Mobile: +32 (0) 471 81 24 77 Address: bpostgroup, Boulevard Anspach 1, 1000 Brussels, Belgium 19